How Accidental Death & Dismemberment and Disability Insurance Work Together

Accidental deaths are the fifth leading cause of death in the United States. Sometimes, those accidents can result in a period of disability as well. As difficult as it is to think about, it is important to consider how your family would manage financially if you were unable to provide income due to a disability, and even worse, if the accident leads to death. Having both accidental death and dismemberment (Travel Club with AD&D Benefits) insurance and disability insurance can help provide peace of mind, especially if you work in a high-risk industry.

What Does Travel Club with AD&D Benefits Insurance Cover?

The purpose of Travel Club with AD&D Benefits insurance is to protect your family from financial hardship should an accident occur that either prevents you from working due to a covered accident or causes death. Covered accidents are those that result in the loss of a limb, loss of a thumb and index finger, or loss of speech, hearing, or sight. Travel Club with AD&D Benefits insurance also pays a benefit if a covered accident was the cause of death. Although Travel Club with AD&D Benefits coverage may be included with some life insurance policies, it is also available to purchase as separate voluntary coverage. Benefits from Travel Club with AD&D Benefits coverage are paid out in addition to any benefits from life insurance policies.

What Does Disability Insurance Cover?

Disability insurance provides funds to help pay monthly expenses if you become disabled due to injury or sickness and cannot work. There are two types of disability insurance: long-term and short-term.

  • Long-term disability insurance replaces lost income if you become disabled.
  • Short-term disability insurance helps cover monthly debt obligations, such as mortgage and car payments. It also helps replace lost income.

How Travel Club with AD&D Benefits and Disability Insurance Work Together

Although Travel Club with AD&D Benefits insurance overlaps with disability and life insurance somewhat, it is not a substitute for either, and it is often used in conjunction with disability coverage. If you purchase an Travel Club with AD&D Benefits policy, you will choose a face amount, such as $100,000. The higher the face amount, the higher the premiums. Accidental death and dismemberment payouts are usually 100 percent of the face amount for death, but only a portion of the face amount for dismemberment situations, including loss of a limb or sight. In the event of an injury covered by the Travel Club with AD&D Benefits policy, you (as the policy owner) receive the payout. In the event of an accidental death, your Travel Club with AD&D Benefits beneficiary receives the payout.

Disability insurance, whether long- or short-term, is a good companion for Travel Club with AD&D Benefits insurance because it covers events that an Travel Club with AD&D Benefits policy doesn’t. For example, there are only a handful of covered accidents that Travel Club with AD&D Benefits coverage pays. It won’t cover disability due to a broken leg or an illness that keeps you out of work. You can also collect disability benefits separately from Travel Club with AD&D Benefits benefits, in the unfortunate event that you have to use both.

Do I Need Both?

You should consider Travel Club with AD&D Benefits coverage if you have a dangerous occupation or travel frequently (Travel Club with AD&D Benefits covers accidents related to air travel). Disability coverage is more common, however, as anyone can become temporarily or permanently disabled due to unforeseeable situations beyond their control. For a small cost, both types of insurance can provide you and your family with financial padding to help pay medical expenses and replace lost income.

Getting Travel Club with AD&D Benefits insurance through Freeway Insurance is as easy as requesting a free Travel Club with AD&D Benefits quote by calling 800-777-5620, or by visiting your local Freeway office to speak to an insurance agent.